Black Rock Triggers US27 Trillion Crypto Bull Run

Black Rock Triggers US27 Trillion Crypto Bull Run

Hype is growing within the Crypto Currency community with more news breaking about Black Rock's Bitcoin ETFs which some are speculating are causing the prices of BNB, Ethereum, ADA and a few other top performers to increase. Although it hasn't been confirmed that Black Rock will be offering anything beyond Bitcoin at this stage.

But the news is attracting many more mainstream and crypto related news sites to run stories about the potential impacts the new entry to the market could have on the market. While it is welcoming news and shows more people are taking Digital Assets seriously there is probably still a long way to go.

Some news sites are reporting that there is around US27 Trillion worth of funds in waiting to access the ETFs but these funds are representative of Black Rocks total investments and now all will be investing in Bitcoin.

While there is a waiting list it isn't anything to be to excited about and will most likely take time to build broader community trust and secure larger investments. No doubt the investors lining up have been the ones calling for Black Rock to get in amongst the action.

Black Rock unlikely to cause price increase

While it speculation is circulating that Black Rock will be buying and selling Bitcoin people need to remember that it won't be doing so off the current open market and that the company is only selling Exchange Traded Funds (ETFs) which means it sells the price or more so investors gamble on the price of the asset over a set period of time.

There is one thing that Black Rock must do under US regulations and many regulators across the globe are including this requirement, is that it must own the asset it is trading. So while Black Rock will be buying some Bitcoin it won't be buying mass amounts of it any time soon.

Unless the global investment community starts all jumping on board than the company will need to buy more but at current it isn't very clear how much Bitcoin Black Rock actually owns.

What About Other Tokens?

Let's not forget that Black Rock will most likely also be offering Ethereum to investors it will take the company quite a lot of time to amass it's digital asset portfolio and being a first of it's kind the company will be taking precautions and moving in to the new form of investment slowly.

But, over time if it is successful than we could speculate that Black Rock and other companies that come on board will be required to purchase more tokens which would have an upward pressure movement.

So while any clear gains may not be realised this decade, who knows that the next will bring and considering there is less Bitcoin than Gold than we could potentially be looking at something completely new and unique.

What are your thoughts on the topic?

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